Commissioners with Clallam County Public Utility District No. 1 have shelved a Sequim-based project that would have increased the district’s renewable energy offerings.
The PUD’s proposed Community Solar Project did not receive the necessary customer participation to move forward with construction, officials said last week, with the community committing to purchasing just 59 percent of units as of Friday, Aug. 12.
For the PUD to construct the project, a full 100-percent participation level was required.
The project was to be built in the Sequim area using Washington state-made solar panels. Each unit would cost a customer $250 with a maximum purchase limit of 40 units and an estimated payback period, with incentives, of about 15 years.
Initial interest level in June was somwhere around 95-98 percent, but when it came time to pay for a unit or units, the level of interest dropped, PUD Communications and Government Relations Manager Mike Howe said.
“(At) this time, you actually had to write the check, a firm commitment,” Howe said. “At 59 percent, it just wasn’t good enough, so we decided not to move forward with project.”
The concept behind the solar project was to allow as many interested PUD customers with an opportunity to engage and support renewable energy, and makes solar energy more economically viable for those who can’t afford to install a personal rooftop system, PUD officials said.
The initial project offered 1,200 units with a payback period over 25 years. PUD customers who participated would have received a credit on their electric bill based on the electricity generated by the project and their share of units purchased. Additionally, they would have received a state production incentive per unit until June 2020.
Building the solar system with locally manufactured equipment was estimated to carve 10 years off the time it takes for participants to regain their investment, Fred Mitchell, Clallam County PUD power supply and utility services manager, said in June. However, the shorter payback period would come at a price. To offset the $37,000 cost increase to the $300,000 project, PUD officials needed to sell 1,350 units instead of 1,200.
PUD commissioners approved a resolution to support the project on June 6.
Following the June meeting, PUD officials recontacted customers who were initially interested, but found the participation level dropped when asked to put forth money toward the project, Howe said.
“It’s unfortunate the project did not receive full participation, but with the state solar incentive expiring soon, and the popularity of roof top solar maxing out the incentive in our service area, perhaps the payback period was just too long for customers,” Mitchell said.
The Washington state solar incentive is set to expire in June of 2020. As this was one of the obstacles to a lower payback period on the project, PUD officials plan to discuss the implications of this expiration with legislators as the 2017 legislative session approaches.
The PUD offers the Watts Green program for customers interested in supporting renewable energy. Learn more at www.clallampud.net/watts-green-power/.
Clallam County PUD No. 1’s next meeting is slated for 1:30 p.m. Monday, Aug. 29., at the Lake Crescent Boardroom of the PUD Main Office, 104 Hooker Road, Carlsborg.
For more information, visit www.clallampud.net or call the PUD main office at 452-9771.
